Impact of Technology on Global Marketing Approaches in the Hospitality Industry

This report discusses the impact of technology on the hospitality industry and its global marketing approaches. It covers industry overview, TOWS analysis, five force analysis, global marketing approaches, and the impact of technology on marketing strategies. The report emphasizes the importance of adapting to technological advancements in order to stay competitive in the industry.

COURSEWORK

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................3
Industry overview.......................................................................................................................3
TOWS of hospitality industry.....................................................................................................3
Five force analysis of hospitality industry..................................................................................3
Global marketing approaches of hospitality industry.................................................................4
Impact of technology over global marketing approaches...........................................................4
CONCLUSION................................................................................................................................5
REFERENCES................................................................................................................................6

INTRODUCTION
The technology is the latest issue which impacts the working of the hospitality sector to a
great extent (Buhalis and et.al., 2019). The present report will deal with the hospitality industry
and the current advances in technology which are being affecting the whole industries. Also, this
will discuss the impact of advancement in technology over the global marketing approaches.
Industry overview
The hospitality is the industry which provides all the services to the people who are
travelling and this includes accommodation, food, lodging, hotels and restaurant, travel,
entertainment and many others. There is a great impact of technology over the global marketing
strategies used by hospitality industry.
TOWS of hospitality industry
 Threat- The major threat faced by the hospitality industry is the high competition which
is there because of the fact that even small companies are entering into the hospitality
industry as this is a growing industry.
 Opportunity- The major opportunity for the industry is the latest developments within the
technological sector which is being going on within the market and this will increase the
efficiency of the industry
 Weakness- The major weakness is the prices which is little highly charged by the hotels
and other companies in hospitality because the competition is high and to face it price
war takes place.
 Strength- The major strength of this industry is that this is a growing industry and it
contributes to a great extent in the economy of the country and also there is high profit
margin in this industry.
Five force analysis of hospitality industry
 Threat of new entrant- This is low in hospitality industry because the investment to enter
in this industry is very high and small companies and low income people cannot afford to
start business in this industry (Shamim and et.al., 2017).
 Threat of substitute goods- This is also low in hospitality industry because there is not
much substitute of the services provided by the hospitality industry.

 Bargaining power of buyers- The buyers in modern world are very unpredictable the
industry has to follow the trends in accordance to the requirement of consumer (Ivanov,
2019). Thus, the consumers have high power as the whole industry is operated with the
preferences of the consumers and they have high power.
 Bargaining power of suppliers- This is not much hazard in the hospitality industry as the
power of the supplier is low because there are many suppliers and if one does not agree
then company can go to other.
 Competitive rivalry- This is very high within the hospitality industry because of the fact
that competition is intense and high and this impact the working capacity of the
companies in hospitality sector.
Global marketing approaches of hospitality industry
 Getting savvy with social media- This is the most important technical marketing
approach wherein the companies market their product and services with help of social
media sites being operated by general public. This is a good source of marketing because
this help in covering large market with single advertisement being posted on social media
sites.
 Advertise on metasearch engines- This is a technique through which company advertises
on different travelling apps like TripAdvisor, Google Hotel Ads, Trivago and many other
sites. This is helpful for companies as this involves a low cost and less time in marketing
with these channels.
Impact of technology over global marketing approaches
The impact of using the technology in the field of marketing of the product and services
of hospitality industry is very positive over the functioning of industry. This is majorly because
of the fact that the use technology limits the human efforts within the working and this improves
the efficiency to a great extent. Also, with help of TOWS it was identified that major opportunity
for development of industry is adapting the latest technology (Hassanien and Dale, 2019). This is
majorly because of the fact that this adaption will increase the productivity of the hospitality
industry. In addition, to this with help of Porter five forces it was outlined that competitive
rivalry is high and to face it technology will help the company. The major reason underlying this
fact is that the use of latest technology will provide a competitive advantage to the companies
over other companies.

CONCLUSION
In the end it can be summarised that technological changes have a great impact over the
working of the whole industry. This is majorly pertaining to the reason that if hospitality industry
not adapt to the latest changes in technological sector then the industry will obsolete. Thus, it can
be inferred that using and adhering to the latest changes in technological sector.

REFERENCES
Books and Journals
Buhalis, D., and et.al., 2019. Technological disruptions in services: lessons from tourism and
hospitality. Journal of Service Management.
Hassanien, A. and Dale, C., 2019. Hospitality business development. Routledge.
Ivanov, S., 2019. Ultimate transformation: How will automation technologies disrupt the travel,
tourism and hospitality industries?. Zeitschrift für Tourismuswissenschaft. 11(1). pp.25-
43.
Shamim, S., and et,al., 2017. Examining the feasibilities of Industry 4.0 for the hospitality sector
with the lens of management practice. Energies. 10(4). p.499.